![]() ![]() Even the smallest delays can be problematic if a key input does not arrive "just in time," a bottleneck can result. If demand unexpectedly spikes, the manufacturer may not be able to source the inventory it needs to meet that demand, damaging its reputation with customers and driving business toward competitors. This approach reduces storage and insurance costs, as well as the cost of liquidating or discarding excess inventory. The method allows companies to save significant amounts of money and reduce waste by keeping only the inventory they need to produce and sell products. ![]() Toyota Motor ( TM) contributed the most to its development.
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